January 30, 2019 5:54pm
Sentiment is where trading categorizes the delusion of pricing actions
Thank the Fed Reserve for the late session surge …
Don’t get me wrong, I welcome the “rectified” upside however; it’s still the battle of the oversold becoming the overbought and their forthcoming regression
Pre-open Indication: 6 HITs and 1 MISS (by pennies)
Today’s gold was Monday and Tuesday’s tin!
RegMed Investors’ provides the realities of volatility and share pricing in the sector. That’s why the term “quantamental,” a blend of the two styles, may soon become common parlance among investors and traders.
- The Dow closed up +434.90 points or +1.77% to 25,014.86
- The S&P closed up +41.05 points or +1.55% to 2,681.05
- The NASDAQ was up +154.79 points or +2.2% to 7,183.08
Pre-open indications: 6 HITs and 1 MISS
- Asterias Biotherapeutics (NYSEMKT: AST) closed down -$0.0019 - hit;
- BioTime (NYSEMKT: BTX) closed up +$0.03 - miss;
- Voyager Therapeutics (VYGR) closed down -$0.60 – hit;
- CRISPRS Therapeutics (CRSP) closed up +$1.27 – hit;
- Editas Medicine (EDIT) closed up +$0.99 – hit;
- Intellia Therapeutics (NTLA) closed up +$0.77 – hit;
- Stemline Therapeutics (STML) closed up +$0.00 – hit;
The advance/decline line scenario of 45 covered companies:
- The open was positive with the A/DL to 34/10 and 1 flat;
- The mid-day stayed positive with an A/DL of 33/9 and 3 flats;
- The close was positive with an A/DL of 35/5 and 5 flats;
Tonight’s percentage (%) indicators:
- Ranged of the 35 upside was +0.06% (KOOL +$0.0002) to +13.73% (CUR +$0.05) while the 5 downside ranged from -0.19% (AST) to -5.40% (VYGR) with 5 flat close (ADVM, OSIR, PSTI, STML and RENE.L).
- 8 out of the 35 upside had higher (than the 3 month average) volume
- 4 out of the 5 downside experienced greater volume (than the 3 month average)
Fed meeting was the key on Wednesday, in a statement, the central bank said: "The Committee will be patient as it determines what future adjustments to the target range for the federal funds rate may be appropriate." The statement also dropped the word "gradual." The Fed also addressed the balance sheet, which had been a concern for investors, in a separate statement. The Fed said it "is prepared to adjust any of the details for completing balance sheet normalization in light of economic and financial developments." <CNBC>
From the pre-open’s data docket: U.S. private payrolls grew by 213 K in January, according to data released by ADP and Moody's Analytics. Economists expected a gain of 178 K. The data come ahead of Friday's nonfarm payrolls report.
Sector equities rose sharply to close positive reflecting the oversold capacity of the sector Tuesday’s neutral close and Monday’s negative close.
Traders sold into strength in Voyager therapeutics (VYGR -$0.60) after generating news, Asterias Biotherapeutics (NYSEMKT: AST -$0.01) after yesterday’s +39.25% dramatic upside.
- BioTime (NYSEMKT: BTX +0.03) rose after yesterday’s +50.5% move.
- Biostage (BSTG +$0.20) with 4.53 K shares traded – on WHAT with a “runway” ending in Q3-4/19?
Weakness lit Caladrius Biosciences (CLBS -$0.15) - I’m still right on my negativity on this equity; Mesoblast (MESO -$0.02) and Bellicum Pharmaceuticals (BLCM -$0.01)
- The afternoon session was good to Fate Therapeutics (FATE +$0.44 having been down -$0.14), MiMedx (MDXG closed up +$0.01 having been down -$0.03), Ultragenyx Pharmaceuticals (RARE closed up +$0.74 having been down earlier -$0.01)
Closing FLAT were Adverum (ADVM), Osiris (OSIR), Pluristem (PSTI), Stemline Therapeutics (STML) after their news of completing its validation of the Marketing Authorization Application (MAA) for ELZONRIS™ (tagraxofusp-erzs) and ReNeuron (RENE.L)
Infusing gains were:
- bluebird bio (BLUE +$6.65 after yesterday’s-$2.80 and Monday’s -$3.53), IONS (+$1.37 after yesterdays -$2.41), FIXX (+$0.49 after yesterdays -$1.01), Ultragenyx (RARE +$0.1.37 after yesterdays -$0.61).
Athersys (ATHX slip minimal forward +$0.01 after yesterdays-$0.13) takes a hit on the capacity of MultiStem ™. The Helios option – unrealized to date is the “Sword of Damocles” hanging over its share pricing – they DON’T have many believers!
- Applied Genetic Technologies (AGTC +$0.16 after yesterdays -$0.15) just can’t get away from the share busting of NO clinical data, past slow enrollments in clinical trials and the loss of the Biogen (BIIB) collaboration.
Yet another pick-up after a slowdown in the CRISPR peer group: CRSP (+$1.27 after yesterdays-$0.20 EDIT (+$0.99 after yesterdays -$0.37 and NTLA (+$0.77 after yesterdays -$0.47) after Monday’s “shoot down”
- Global Blood Therapeutics (GBT jumped +$2.58 after yesterday’s +$0.22 to $44.90 following Monday’s -$2.18) as it announced (post the session’s close) that data from its P1/2 study of voxelotor in patients with sickle cell disease (SCD) were published online in Blood.
The pre-open post stated, “The sector’s share pricing has been concentrated in low volume as 4 out of the 21 upside had higher (than the 3 month average) volume and 4 out of the 21 downside experienced greater volume (than the 3 month average). This cycle of share pricing capriciousness reflects a “tourist” trade pre earnings releases.”
Daily volume metrics:
… Greatest volume (descending) to the downside:
- VYGR, AST, BLCM, MESO and CLBS
… Upside volume was weighted to:
- BTX, HSGX, VSTM, ADRO and SGMO
… The week’s history lesson, the iShares NASDAQ Biotechnology (IBB) closed:
- Wednesday was up +0.68% after indicating a negative -0.3% in the pre-market;
- Tuesday was up +0.20% after NOT indicating;
- Monday was down -1.99% after NOT indicating;
- Friday was up +1.53% after indicating a positive +0.33% in the pre-open;
- Thursday was down -0.02% after NOT indicating;
- Last Wednesday was down -0.84% after indicating a negative -0.17% in the pre-open and -1.10% at the mid-day;
Wednesday closed POSITIVE with 5 decliners, 35 advancers and 5 flat;
Tuesday closed NEUTRAL with 21 decliners, 21 advancers and 3 flat;
Monday closed NEGATIVE with 37 decliners, 6 advancers and 2 flat;
Friday closed POSITIVE with 32 decliners, 10 advancers and 3 flat;
Thursday closed POSITIVE with 31 decliners, 12 advancers and 2 flat;
Wednesday closed NEGATIVE with 36 decliners, 8 advancers and 1 flat;
Tuesday closed NEGATIVE with 36 decliners, 7 advancers and 2 flats;
Monday was a market holiday;
Friday closed POSITIVE with 13 decliners, 30 advancers and 2 flats;
Thursday closed NEGATIVE with 22 decliners, 20 advancers and 3 flat;
Wednesday closed POSITIVE with 20 decliners, 23 advancers and 2 flat;
Tuesday closed POSITIVE with 11 decliners, 33 advancers and 1 flat;
Monday closed NEGATIVE with 32 decliners, 10 advancers and 3 flat;
Friday closed NEGATIVE with 23 decliners, 20 advancers and 2 flat;
Thursday closed POSITIVE with 19 decliners, 24 advancers and 2 flat;
Wednesday closed POSITIVE with 18 decliners, 26 advancers and 1 flat;
Tuesday closed POSITIVE with 18 decliners, 26 advancers and 1 flat;
Monday closed POSITIVE with 7 decliners, 38 advancers and 0 flats;
Friday closed POSITIVE with 5 decliners, 40 advancers and 0 flats;
Thursday closed NEGATIVE with 32 decliners, 11 advancers and 2 flats;
Wednesday (1/3/19) closed POSITIVE with 11 decliners, 34 advancers and 0 flats;
Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors. All investments are subject to risks. Investors should consider investment objectives.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.